Miner Recollection

May 28, 2019

When I looked at Tuesday’s Miners chart it caused me to recall a chart from 2011.

Two of the characteristics that I recall include:
A multi week selloff that resulted in a failed daily cycle low.
A left translated daily cycle formation that did not result in a lower low, which is the current Miner setup.

The above chart is from 2011 and there was a multi week selloff that ended in a failed DCL. The following daily cycle formed as a left translated daily cycle, but instead of failing it formed a higher daily cycle low.

In both charts price coiled in a narrow range building up energy.

The chart that it reminded me was of the dollar from 2011. And once that energy was released, a trending move resulted.

3 responses to “Miner Recollection”

Alex

May 29, 2019

yet, to be reminded that a star-marked fomc is due in 3w sharpish and that in the vast majority of times a couple of weeks prior to fomc dxy has tended to strengthen and to start weakening 1w before the fomc at most unless right on the fomc day or the day before.

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trondtveten

May 29, 2019

Interesting observation!! But it is a red flag that both the Hindu gold buying festival Aksha Tritiya on May 7th and now the muslim (heavy gold buying) Al Fitr end of Ramadan – on June 4th – both failed to increase the gold price..

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Alex

May 30, 2019

Furthermore, Trondt, look at the trend of JPY COT in the last 2 reports, especially the prior to the last one (-31k variance on the long side of Comms!) where we can see a significant drop in the net long position of smartest money (now at +65) while the top net long position in the last 3y has been +162k!
All this drop during the last fortnight has occurred while USDJPY has stood virtually still…

All this suggests that USDJPY has yet to rise during the next fortnight to allow Comms to build up a strong net long position.

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